Problem 16-12 (Algo) Your company assembles five offferent models of a motor scooter that is sold in specialty stores in the United States. The company year. Due to the size of your warehouse and other administrative restrictions, you must order the engines in lot sizes of 1.210 units. Because of the unique characteristics of the engine, special tooling is needed during the manufacturing process for which you agree The following data have been collected.

wequietpants [annasl Forecast) Order processing cost 19 percent of the average value of inventory per year Note: Assume that half of lot size is in inventory on average (1,240/2 -620 units). Two qualified suppliers have submitted the following quotations:

weling casts Diatunes Your assistant has obtained the following freight rates from your carrier. Less than feagaabs. each load]: i1.20 per ton-size More: Per ton-mile - 2.000 ibs. per mile. 8-1. Calculate the total cost for each supplier. (Round your ons